In Guizhou Chanhen Chemical Corporation(002895) (002895. SZ) of phosphorus chemical industry, the share price soared by more than 300% in the third quarter of 2021. Now it’s time to honor the performance.
According to the company’s prediction, the profit in 2021 will be 314 million yuan – 371 million yuan, with a year-on-year increase of 120% – 160%; Even after deducting non net profit, it was 296 million yuan – 342 million yuan, an increase of 160% – 200% over the same period of last year; The basic earnings per share is 0.64 yuan / share -0.76 yuan / share.
According to the data, Guizhou Chanhen Chemical Corporation(002895) phosphorus chemical industry chain takes phosphorus ore as the starting point. Phosphorus concentrate slurry is obtained from phosphorus ore through mining and processing, and then phosphoric acid is produced through wet process, which further reacts with other chemical raw materials to produce chemical products such as calcium dihydrogen phosphate and monoammonium phosphate. The company’s main products are calcium dihydrogen phosphate and monoammonium phosphate, of which calcium dihydrogen phosphate is feed grade, monoammonium phosphate is mainly used for fire fighting, and a small amount is used as fertilizer. Guizhou Chanhen Chemical Corporation(002895) the main raw materials purchased are phosphorus ore, sulfur, sulfuric acid and liquid ammonia.
According to Guizhou Chanhen Chemical Corporation(002895) , after the company acquired Fuquan phosphate mining right and related assets, its own phosphate rock was effectively guaranteed, the production cost of products decreased year-on-year, and the sales unit price of main products and phosphate rock increased, which finally led to a significant increase in the company’s operating performance in 2021. Just look at the data. According to the data of Ifind and Boya Hexun, the average prices of monoammonium phosphate, calcium dihydrogen phosphate and phosphate rock increased by 28%, 21.1% and 40.1% respectively year-on-year in 2021. In 2021, the company’s phosphate rock production capacity will be increased to 3 million tons / year.
Everbright Securities Company Limited(601788) analysts said that in terms of traditional phosphorus chemical business, the fixed increase and convertible bond raising project in 2022 will be gradually put into operation. While expanding the production capacity of traditional products such as calcium dihydrogen phosphate and ammonium polyphosphate, it will also supplement the production capacity of upstream washing and beneficiation, sulfuric acid and other raw materials, so as to further improve the profitability of the company’s traditional business. In addition, in terms of new energy materials business, the company’s iron phosphate and other new energy materials products will also be gradually put into operation. It should be noted that Guizhou Chanhen Chemical Corporation(002895) also bound customer resources in advance and signed cooperation agreements with downstream manufacturers such as GuoXuan holdings and Sunwoda Electronic Co.Ltd(300207) , which also improved the certainty of the company’s capacity of new energy materials.
Moreover, after the performance disclosure, on January 21 Guizhou Chanhen Chemical Corporation(002895) also said that the holding subsidiary Guizhou Hengda mining Holding Co., Ltd. and Jinyuan Ep Co.Ltd(000546) (000546. SZ) signed the strategic cooperation agreement in Binjiang District, Hangzhou to jointly develop the salt lake lithium extraction project.
Taking advantage of the good performance, Guizhou Chanhen Chemical Corporation(002895) also launched an equity incentive scheme, which plans to grant 8.14 million restricted shares to incentive objects, accounting for 1.67% of the total share capital of the company, including 7.14 million shares for the first time and 1 million shares reserved. The total number of incentive objects involved in the first grant of the incentive plan is 483, mainly including the company’s directors, senior managers, middle managers and technical (business) backbone. The grant price of the first grant and reserved rights and interests is 12.48 yuan per share. The first performance appraisal granted is in 2022 and 2023, and the net profit is not less than RMB 500 million and RMB 800 million respectively. If the reserved rights and interests are granted in 2022, the performance appraisal objectives at the company level are consistent with the arrangement of restricted shares granted for the first time; If the reserved rights and interests are granted in 2023, the performance assessment objectives of this part are 2023 and 2024, and the net profit is not less than 800 million yuan and 1.2 billion yuan.
It remains to be seen whether the performance appraisal target of equity incentive has an “anchoring effect”.
